Royalty Pharma plc (NASDAQ:RPRX) is among the 11 Best Low Priced Growth Stocks to Buy Right Now.
On February 12, Goldman Sachs raised its price target on Royalty Pharma plc (NASDAQ:RPRX) to $51 from $45 and maintained a Buy rating after strong Q4 results. The firm noted that portfolio receipts and 2026 guidance exceeded expectations, implying 3%–8% year-over-year growth in royalty receipts. Goldman emphasized that the company remains positioned for long-term 10%+ top-line growth supported by synthetic royalty performance, ongoing commercial momentum, and favorable conditions in the royalty financing market. The company’s approximately $3.5 billion financial capacity supports continued active capital deployment.
For 2026, Royalty Pharma plc (NASDAQ:RPRX) guided portfolio receipts of $3.275 billion to $3.425 billion, implying royalty receipt growth of roughly 3%–8% based on the current portfolio and excluding future transactions. Milestones and other contractual receipts are expected to decline from $128 million in 2025 to approximately $60 million in 2026. Operating and professional costs are projected at 5%–6.5% of portfolio receipts, down from 8.9% in 2025 and 6.7% in Q4. Interest expense is expected to total approximately $350 million–$360 million, primarily weighted toward Q1 and Q3. Guidance excludes interest income on cash balances and anticipates approximately $85 million of equity performance awards in 2026.
During 2025, Royalty Pharma plc (NASDAQ:RPRX) announced that transaction value totaled $4.7 billion, with $2.6 billion deployed, including $887 million in Q4. The company returned $1.7 billion to shareholders through $1.2 billion in share repurchases and over $500 million in dividends, reducing weighted average share count by approximately 5%. The dividend was increased 7% for 2026, consistent with a mid-single-digit growth target, and management reiterated its dynamic capital allocation strategy, balancing royalty acquisitions, buybacks, and dividends.
Founded in 1996 and headquartered in New York City, Royalty Pharma plc (NASDAQ:RPRX) is the largest buyer of biopharmaceutical royalties globally and partners across the innovation ecosystem from academic institutions to leading pharmaceutical companies.
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